Fraud & Scams

Ponzi Scheme

Definition

What is Ponzi Scheme?

A fraud that pays earlier participants using money from newer participants rather than genuine investment profits.

Example in practice

The scheme collapses when new deposits can no longer fund promised withdrawals.

Keep learning

A scheme that rewards recruitment more than genuine product sales or investment activity.

Manipulating an asset upward through misleading promotion before selling into the inflated demand.

A digital-asset fraud in which insiders remove liquidity or abandon a project after attracting investor funds.

A person or firm that executes securities transactions for clients.

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